Microsoft finalizes layoff plan in Finland

HELSINKI, Aug 29 (Xinhua) -- The Finnish engineer community was hit harder than expected when Microsoft in Finland finalized its downsizing plan Friday.

The loss of jobs at Microsoft Devices Group in Finland has been confirmed at 1,050, slightly under the maximum layoff envisaged.

The would-be unemployed are part of Microsoft's overall plan of cutting off 18,000 ex-Nokia employees worldwide.

Microsoft first made public its intentions to downsize in July.

A Microsoft spokesperson confirmed to Xinhua on condition of anonymity on Friday that it has completed the talks with employees mandated by Finnish law.

Microsoft is offering financial support packages and assistance in career development for those being made redundant.

The unit in Oulu, northern Finland is to be closed down, with that in Salo, southern Finland will concentrate on developing high-end Lumia handsets.

Meanwhile, more economically-priced Lumias and basic phones will be developed in Tampere. Microsoft will also continue solutions development in Espoo, a satellite city near Helsinki.

Speaking to Xinhua, the chairman of the Federation of Finnish Professional and Managerial Employees, Pentti Porokari, described the dismissals as "shocking" and said it marked the largest group of engineers being laid off in Finnish industrial history.

The union had expected the number would have remained between 600 and 800.

Some 500 Oulu engineers are advertising their talent at polestar.fi, trying to draw attention to their history as developers of various products for Nokia and Microsoft, including the Android-based x2.

"Emigration is an alternative mainly to the fairly young engineers with no binding ties with Finland," added Porokari.

He singled out Germany and the rest of the European Union as primary destinations. But he also said that the increased salary levels in China have made the country an alternative.

Porokari hoped that in Finland the public sector would use Finnish know-how more and choose solutions designed in Finland instead of overseas developers in public sector systems.